The Finnish Oy Metsä-Botnia Ab began in September 2005 the construction of a pulp mill in Fray Bentos, a town with 23 000 inhabitants in Western Uruguay. The Botnia pulp mill project, more known for the diplomatic crisis between Argentina and Uruguay over the environmental impact of the investment, is in this investigation analyzed for its repercussions on internal migration. Responding to a concern expressed by the local authorities of Fray Bentos and the International Organization for Migration (IOM), this investigation considers to what extent the Botnia pulp mill project has led to contracted and uncontracted internal migration. The investigation is a background study for a planned pilot intervention by IOM, other agencies forming part of the United Nations Country Team for Uruguay, and the local counterpart in the Rio Negro-Fray Bentos region. The investigation suggests that the Botnia pulp mill project does not lead to permanent internal migration aside from those workers who continue working at the Botnia pulp mill after the construction phase. Uncontracted migration in the context of the Botnia pulp mill project has been minimal and temporary. The phenomena began during early 2006, increased slightly during the same year, and descended rapidly by the end of the year. Based on these findings, the investigation suggests that there is no need in Fray Bentos for the planned pilot intervention by the development agencies in the management of internal migration. The investigation calls for investigations on whether internal migration is a significant cause of irregular settlements in Uruguay.